Fundamental analysis $BTC

It is widely used in the financial system. But with the advent of cryptocurrencies, it added new variables that affect the value of an asset. Investors cannot use effective tools, such as the profits generated by a stock per year, since the value of a cryptocurrency is nourished by various sources and is affected by different elements.

To apply fundamental analysis to a cryptocurrency like $BTC , not only financial aspects are taken into account, but also data from public networks. These are known as "on-chain metrics".

For example, the main addresses of hodlers, the value of transactions, the number of active addresses, and the hash rate in the case of a Proof of Work (PoW) network, among others.

Similarly, aspects such as the project's ideology, its group of developers, the community that supports it, or its technical proposal: its White Paper, are also considered. With fundamental analysis, the idea is to have a broad view of what happens in the market and how this contributes to the formation of the cryptocurrency's value.